Which of the following is included in both the U.S. GDP and GNP?

Question

Quizplus · Accepted Answer

GDP includes the value of all goods and services produced within a country's borders, regardless of who owns the factors of production. General Motors is a U.S. company and its cars are produced within U.S. borders, therefore their value is included in both U.S. GDP and GNP (which includes the value of all goods and services produced by U.S. factors of production, whether they are located within the U.S. or abroad). The other options either involve cars produced by foreign companies, or cars produced by U.S. companies outside of U.S. borders, which would not be included in both GDP and GNP.

Which of the Following Is Included in Both the U